July 3, 2022

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The Securities and Exchange Commission has dismissed Elon Musk's allegations of "breaking" promises.

The Securities and Exchange Commission has dismissed Elon Musk’s allegations of “breaking” promises.

The Security and Exchange Commission (SEC) has responded to claims by Tesla CEO Elon Musk that the agency has done so. He and his electric car company subjected him to “endless and baseless investigations.”“First mentioned before The Wall Street Journal. In a letter to Judge Alison Nathan, the Securities and Exchange Commission refuted Musk’s allegations that it was ignoring its obligation to distribute $40 million in fine money to Tesla shareholders, which Musk and Tesla paid as part of the 2018 settlement.

“Due to the complexity of the distribution, it took time to develop the allocation plan,” SEC official Steve Buchholz wrote in the letter. “This process is nearing completion, and in the absence of any unforeseen circumstances, distribution personnel expect to submit the proposed distribution plan for court approval by the end of March 2022.” The Securities and Exchange Commission also notes that it complied with a court order requiring it to report on the status of the distribution.

Musk’s complaints were included in a letter his attorney, Alex Spiro, submitted to the court on his behalf. It relates to the 2018 settlement – also overseen by Judge Nathan – in which the Securities and Exchange Commission indicted Musk for securities fraud after a tweet stating so. Obtained “secured financing” To make Tesla a private company. catch later I reached a settlement with the Supreme Education CouncilAsking him and Tesla to pay separate fines of $20 million. It also ordered Musk to step down as Tesla’s three-year presidency and asked the company to oversee any statements Musk makes about Tesla on social media.

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In 2019, the SEC charged Musk with Being in a “blatant violation” of the settlement After he tweeted, the automaker will produce about 500,000 cars that year – a number much higher than Tesla originally expected. Supreme Education Council A federal judge asked to despise Muska step Musk claimed it was an “unconstitutional power grab.” Judge Nathan later ordered Monday to work out matters themselves.

We learned earlier this month The Securities and Exchange Commission summoned Tesla Last November, in another episode about Musk’s tweet. In his letter to the court, Musk accused the Securities and Exchange Commission of wasting its time calling Tesla instead of distributing $40 million to shareholders. The SEC responded by saying that the subpoena was unrelated to the current lawsuit, and that if Tesla and Musk had “legitimate objections to the SEC’s operations,” they should use appropriate legal avenues to challenge it.